Female Savers Value Trusted Financial Advice, per Vanguard

While many women want to create a financial safety net, a sizable number said they would benefit from financial recommendations. According to a recent survey by Vanguard, conducted in April among 1,007 U.S. adult women, 70% of surveyed women were confident about their nonretirement savings, but more than 50% were not confident about investing.

While 56% of respondents said they save money to achieve financial autonomy and security, one out of five survey respondents said they had no fiscal savings beyond what they set aside for retirement.

“Savings are a crucial part of everyone’s holistic financial strategy, and yet, the survey found a clear disconnect between women’s overarching financial goals and how and where they save,” said Sonia Fraher, Vanguard’s head of cash management, in a statement.

As for changing savings strategies, such as transitioning from a low-yield to a high-yield option, 35% of surveyed women said they would feel more confident in such a decision if it was recommended by a trusted source, 30% said they would be confident if they could access more education, and 29% would want guidance from a certified professional.

That could mean an opportunity for plan advisers to meet the already prevalent interest in financial advice among women, especially among younger generations. Asked if having a certified financial adviser would make them feel more confident with moving savings, 35% of surveyed Generation Z women agreed, as did 33% of Millennial woman, 26% of Baby Boomer women and 19% of Generation X women.

Gen Z women had the highest percentage (43%) of reporting confidence about changing their savings strategy after receiving a recommendation from a trusted source, more than Millennial women (37%), Baby Boomer women (31%) and Gen X women (30%).

Considering a scenario in which they received additional education about savings options, 37% of Millennial respondents said they would feel more confident, similar to 35% of surveyed Gen Zers and more confident than Gen Xers (29%) and Baby Boomers (18%).

Additionally, 83% of surveyed mothers said they would be more open to changing savings strategy if they received additional education on available options, compared with 70% of all women.

“I work with many women, particularly mothers, who are juggling competing priorities and often putting their own financial goals on hold,” said Tiana Patillo, a Vanguard financial adviser manager, in a statement.

Similarly, 65% of women surveyed in a separate study by the financial company Laurel Road ranked their personal finances as a top source of stress and anxiety in their lives, yet fewer than 20% reported seeking professional financial advice.

According to that same study, women reported being behind schedule on various financial goals, such as retirement savings (36%), credit card debt repayment (30%) and salary (22%).

Likewise, in Vanguard’s survey of women, respondents said their top three financial regrets were unnecessary spending (27%), delayed saving for an important goal (18%), and helping family and friends financially before prioritizing their own savings (14%).

“Closing the gap starts with clear, accessible information that helps women understand their goals, commit to a plan and make their savings work harder so they can make confident decisions for themselves and their families,” Patillo said in the statement.